The Loop will host its annual arts and culture festival Sundays on State this weekend, closing off several blocks along State Street for pedestrians to shop and eat from more than 400 vendors and artists.
The free event, also scheduled for Oct. 5, is a prime example of Chicago neighborhoods becoming more inclined to street closures over the years to jump-start economic development.
The inaugural Meet Me On Milwaukee event that took place Aug. 31 took over several blocks of Milwaukee Avenue, as a portion of the street was closed to vehicle traffic for most of the day — a rarity beyond the popular Wicker Park fest in July.
The movement also has legs nationwide. Southern California’s coastal city Santa Monica recently debuted a pilot program that allows visitors to purchase and openly drink alcohol within a three-block area, transforming its popular shopping promenade into an entertainment zone. In preparation for the FIFA World Cup next year, downtown Houston is implementing a project on Main Street that will permanently close off seven blocks for pedestrians only.
Sundays on State was established in 2021 to help boost recovery efforts during the COVID-19 pandemic. The fall event is a shift from the busy summer months, when mega events like Lollapalooza and NASCAR Chicago Street Race brought in hundreds of thousands of visitors Downtown.
But the likely deployment of U.S. Immigration and Customs Enforcement and, potentially, the National Guard are causing some concerns among business advocates.
“Downtown is safe and we don’t see any need for federal troops or even a heavy police presence,” said Ariella Gibson, marketing and communications director for the Chicago Loop Alliance, which established the event series.
”And it will negatively impact businesses,” she said. “Patrons don’t want to be observed and reported on while they’re enjoying their dinner, or going to a show, or going to the store and being profiled or surveilled. That isn’t a fun or safe experience.”
According to reports in Washington D.C., foot traffic to retail business fell 81% during the week of Aug. 11 compared to a year ago. D.C. restaurants, bars and other hospitality venues have also reported steep sales and foot traffic declines since the deployment, now expected through December.
Boon for small business
“The goals of Sundays on State is to accelerate the Loop economy, but also unite the community and provide opportunities to businesses that may not typically have this chance,” Gibson said.
More than 90% of street activations will be operated by underrepresented businesses, including 74% women-owned ventures, 31% minority-owned companies and 11% that are LGBTQ+-owned.
Gary Lewis, a Black entrepreneur and community activist, will have a booth for his lifestyle brand, iAmDad365, which he launched more than six years ago to support and recognize struggling fathers.
He said Sundays on State have been instrumental to the brand’s success and driving awareness.
“It gave me a chance to really network and bring attention to my cause,” said Lewis, who’s trying to pay it forward after serving a 10-year federal prison sentence on drug conspiracy charges. “Before Sundays on State, I didn’t have a platform that could reach all people, all walks of life.”
The events have drawn more than 1 million visitors to the Loop, according to the Chicago Loop Alliance.
Gayle Voss has participated in Sundays on State since its debut. The longtime farmer’s market vendor started making grilled cheese sandwiches with locally-sourced products that ultimately became the staple of her stand-alone restaurant Gayle V’s Best Ever Grilled Cheese at the shopping center Block 37 in the Loop.
The McHenry County resident credits street events, particularly Sundays on State, for helping grow her business during tough economic times.
“I honestly think they’re more essential than ever. When you drive down any of the streets in the Loop and look around, there’s so many empty storefronts,” Voss said. “The opportunity for people who might be having a hard time staying open to get exposure is really just so important for a lot of businesses to stay alive.”
Road to recovery
The exodus of retailers in the Loop has been dramatic since the onset of the pandemic. Since March 2020, retailers have vacated 222 storefronts, comprising 660,000 square feet of space, according to Stone Real Estate.
But out of the Loop’s 1,307 storefronts, more than a third, or 449, are empty — totaling more than 1.3 million square feet of vacant space, Stone Real Estate said.
In the Central Loop corridor, which encompasses Sundays on State, the retail vacancy rate at the end of 2024 was 26%, slightly down from 26.6% in 2023, according to the firm’s analysis released in February.
Still, some signs of a recovery are materializing, Stone Real Estate Group Principal John Vance said.
He highlighted Google’s construction progress at the old James R. Thompson Center; the opening of a Gap Factory store at 17 N. State St.; Medieval Torture Museum operator Benaur’s purchase of 133 S. State St. and Bain & Co.’s 175,000-square-foot office lease at 131 S. Dearborn St., one of the city’s largest leases in years.
He also noted the ongoing conversion of office buildings into residential on LaSalle Street, as well as the benefit street events have on retail and hyper-local economies.
“Sundays on State are an important and helpful impetus to the Loop’s recovery,” Vance said in an email. “Momentum is an important element.”
The Loop is home to world class theaters and museums, and still boasts one of the nation’s most dense business districts, with more than 45,000 workers and 100,000 students, according to the Chicago Loop Alliance.
Foot traffic on State Street, from Ida B. Wells to Wacker drives, has nearly recovered to 2019 levels on weekdays, and surpasses pre-pandemic traffic on the weekend, Gibson said.
“So there’s this desire for activity,” she said. “In some ways, the Loop has to give people a reason to come down and to stay, and those are some of the things we’re trying to work through.”
Gayle V’s is typically closed on Sundays, but Voss plans to keep the restaurant open all weekend.
“Seeing the results of the foot traffic, it’s definitely worthwhile,” she said. “When you have events like this, it’s a different audience.”
For Meet Me on Milwaukee, more than 60 businesses along the street and adjacent thoroughfares participated from 10 a.m. to 5 p.m. The pilot program will also take place Sept. 28 and Oct. 26 — the last Sundays of the month.
“That last Sunday of the month is historically a quieter day so why not make the most of it and do a little something to juice it up,” Pamela Maass, executive director for Wicker Park and Bucktown Chamber of Commerce, said.
Melissa Grubbs, co-owner and store manager of Reckless Records, 1379 Milwaukee Ave., was a bit apprehensive that the street closure could cut into business.
“We were incredibly busy on Sunday,” she said. “We did have good sales, but I don’t know if it was due to the street closure.”